TORONTO, May 8, 2024 /CNW/ – STEER Technologies Inc. (“STEER” or the “Company“) (TSXV: STER), (OTCQX: STEEF), an integrated ESG technology platform, today announced its operational and financial results for the year ended December 31, 2023 (“Fiscal 2023“). All financial results are reported in Canadian dollars, unless otherwise stated.1 Highlights include annual revenue of $17,732,500 in Fiscal 2023, down from $54,921,300 in the year ended December 31, 2022, due to spin off of B2B Marketplace that allowed for the Company to secure an $18 MM direct investment in early 2023, as announced in STEER’s press releases dated January 23, 2023, March 7, 2023, March 24, 2023, and March 30, 2023.
For detailed information please refer to STEER’s 2023 Annual Consolidated Financial Statements and its Management Discussion and Analysis of Financial Condition and Results of Operations for the years ended December 31, 2023 and 2022 (the “2023 Annual MD&A“), filed on SEDAR+ at www.sedarplus.ca. The following table provides a summary of the Company’s financial results for the years ended December 31, 2023 and 2022:
| For the years ended December 31, | 2023 | 2022 | ||||
| REVENUE | $ | 17,732,500 | $ | 54,921,300 | ||
| Cost of revenue | 20,212,900 | 58,980,900 | ||||
| General and administration | 3,866,100 | 6,738,200 | ||||
| Operational support | 4,319,400 | 13,554,600 | ||||
| Research and development | 606,800 | 2,556,600 | ||||
| Sales and marketing | 1,015,000 | 2,263,300 | ||||
| Provision for trade and other receivable | 1,082,000 | – | ||||
| Amortization | 671,800 | 1,397,800 | ||||
| Depreciation | 715,900 | 1,734,800 | ||||
| Total operating expenses | 32,489,400 | 87,226,200 | ||||
| OPERATING LOSS | (14,756,900) | (32,304,900) | ||||
| OTHER INCOME (EXPENSES) | ||||||
| Government grants | (48,400) | 1,654,500 | ||||
| Foreign exchange gain | 9,900 | 78,700 | ||||
| Net interest and finance charges | (1,508,200) | (1,378,100) | ||||
| Loss from sale of equipment | (24,800) | (13,800) | ||||
| Net (loss) gain on derecognition of right-of- use assets | (9,993,900) | 729,200 | ||||
| Gain from spin-off of a subsidiary | 33,791,900 | – | ||||
| Share of loss of an associate | (5,737,900) | – | ||||
| Fair value loss on investment | (919,100) | (91,000) | ||||
| Impairment of intangible assets | – | (2,054,900) | ||||
| NET INCOME (LOSS) BEFORE TAXES | $ | 812,600 | $ | (33,380,400) | ||
| Income tax recovery (expense) | 33,500 | (66,100) | ||||
| Deferred income tax recovery | 70,000 | 6,100 | ||||
| NET INCOME (LOSS) | 916,000 | (33,440,500) | ||||
| Cumulative translation adjustment | 109,600 | (54,400) | ||||
| NET INCOME (LOSS) AND COMPREHENSIVE INCOME (LOSS) | 1,025,700 | (33,494,900) | ||||
| Income (loss) per share – basic and diluted | $ | 0.01 | $ | (0.27) | ||
| Weighted average shares outstanding – basic and diluted | 132,944,600 | 123,902,400 | ||||
“Today, STEER has announced Fiscal 2023 revenue of $17.7 million. While the Company’s focus on cost optimization and operational efficiency has resulted in a reduction of general and administration expenses, the spin-off of its B2B Marketplace, which accounted for over 80% of revenue in 2022, as well as high interest rates affecting the auto leasing industry and organizational changes have resulted in a significant decrease in revenues. As we reflect on the year, 2023 was undoubtedly a period of turbulence and change for our company. Despite these challenges, I am pleased to report that we have achieved significant growth in our Delivery as a Service business offering. This growth is a testament to the hard work and dedication of our team in adapting to new market dynamics and seizing opportunities. Our strategic organizational changes have positioned us well for the future. Four months into 2024, we are confident in our ability to deliver value to our customers, shareholders, and employees, and we are excited about the opportunities that lie ahead,” said Junaid Razvi, CEO of STEER.
About the Company
STEER is an integrated ESG technology platform that moves people and delivers things through subscription and on-demand services. The Company’s goal is to build a one-of-a-kind ecosystem that aggregates conscientious users, through a series of connected offerings, and enables them to buy, sell, or invest with the same platform, STEER. The Company’s offerings generally fall into two categories: subscription-based offerings led by its flagship electric vehicle subscription business, STEER EV, and on-demand services incorporating delivery, B2B marketplace, Delivery-as-a-Service (DaaS) and rideshare businesses. The Company’s platform is also powered by EcoCRED, its big data, analytics and machine learning engine which seeks to capture, analyze, parse and report on key data points in ways that measure the Company’s impact on carbon reductions and offsets.
For more about the Company, visit www.steeresg.com.
Junaid Razvi, CEO
[email protected]
STEER
44 East Beaver Creek, Unit 16
Richmond Hill, ON
L4B 1G8
www.steeresg.com
Forward-Looking Information
Certain information in this press release contains forward-looking information, including with respect to the Company’s business, operations and condition, management’s objectives, strategies, beliefs and intentions, and the company’s forward plans to rebrand. This information is based on management’s reasonable assumptions and beliefs in light of the information currently available to us and are made as of the date of this press release. Actual results and the timing of events, such as those pertaining to success of the Company’s financial performance going forward from the above 2022 results, may differ materially from those anticipated in the forward-looking information as a result of various factors. Information regarding our expectations of future results, performance, achievements, prospects or opportunities or the markets in which we operate is forward-looking information. Statements containing forward-looking information are not facts but instead represent management’s expectations, estimates and projections regarding future events or circumstances. Many factors could cause our actual results, level of activity, performance or achievements or future events or developments to differ materially from those expressed or implied by the forward-looking statements.
See “Forward-Looking Information” and “Risk Factors” in the Company’s 2023 Annual MD&A (filed on SEDAR on May 7, 2024) and its interim Management’s Discussion and Analysis for the periods ended March 31, 2023, June 30, 2023, September 30,2023 for a discussion of the uncertainties, risks and assumptions associated with these statements and other risks. Readers are urged to consider the uncertainties, risks and assumptions carefully in evaluating the forward-looking information and are cautioned not to place undue reliance on such information. We have no intention and undertake no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by applicable securities legislation and regulatory requirements.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
SOURCE STEER Technologies Inc.
For further information: Company Contact: Junaid Razvi, [email protected]; Media Contact: Maria Verbytska, [email protected], Phone: 1-289-452-0164